Insurance Board to Vote on Rate Changes

The Employees Group
Insurance Division (EGID, formerly OSEEGIB) released the proposed rates for
2014 earlier this week. Education employees and schools are expected to see a
4.5 percent increase in overall healthcare costs.

An EGID spokesperson said the
actual increase in insurance costs was about eight percent, but they worked to
decrease that percentage by allocating $28 million in reserve funding to
lower the impact costs.

The proposal increases
individual premiums by $20.88 a month for HealthChoice High plans. The State is
required by law to pick up this increase. The rates for a spouse would go down
$6.14 a month; however, the premium for one child would increase $10.60 a month
or two or more kids would be $16.36 more a month. A family of four (two
adults and two kids) would see their insurance premiums increase by $122.64 per
year.

In addition to the premium
increases, EGID is proposing to raise pharmacy co-pays by 5 percent on
name-brand drugs only. Generic prescription drugs will not be impacted. About
80 percent of all prescriptions are filled with generic drugs.

The insurance board will also
raise the out-of-pocket maximum by $500 for individuals. The impact of this
change will be minimized because employees can now count their co-payments
toward their out-of-pocket maximum where previously they could not. Employees will
not see an increase in co-payments.

The Benefits Board meeting will
be held at 10 a.m. tomorrow in the EGID Board Room at 3545 N.W. 58th
Street in Oklahoma City.